The Pakistan car market is going through one of its biggest crisis ever with sales continuing to be only a handful in comparison to times gone by. While sales in June were better than in May, the figure was a pale shadow of sales numbers from June of 2022.
According to figures released by Pakistan Automotive Manufacturers Association (PAMA), a total of just 6,034 cars were sold in the country in all of June. This is 10 per cent more when compared to figures from May but a mammoth 82 per cent down from the same month of 2022.
In fiscal year 2022-23, car sales crumbled to 126,879 units which is a decline of around 56 per cent. And with little to no respite in sight, the fall is likely to continue moving ahead.
A number of factors have emerged as major roadblocks in the path of the car market in Pakistan. There has been a sharp fall in the availability of completely knocked down kits (CKDs) while high prices of existing inventories have hurt buying sentiments as well. A rise in auto financing rates has hardly helped affordability either and there has been an overall fall in purchase power of customers at large.
The Pakistani economy continues to wade through troubled waters and the automotive industry as a whole is feeling intense pressures. Several manufacturers even announced temporary halt in production timelines.
Who sold how many?
Pak Suzuki, a formidable player in the market, witnessed a two per cent growth in June sales with 3,009 units being sold, as per data from PAMA. Indus Motor Company, responsible for assembling Toyota vehicles in the country, saw a rise of seven per cent in sales – to 1,846 units. Hyundai Nishat Motors registered a rise of 11 per cent in June with Tucson SUV being the most popular model. But these figures remain a big concern for companies here and the prevailing challenges are likely to remain in the forseeable future.
First Published Date: 12 Jul 2023, 11:57 AM IST